Posted on February 28, 2025, by Niftynews
IndusInd Bank share has experienced a significant drop in its price, plunging by 5% today, February 28, 2025. The IndusInd Bank share price is currently trading at ₹1,008.4 on the NSE. This sharp decline in the IndusInd Bank share price is amidst broader market trends that are also affecting other bank stocks.
At the same time, the BSE BANKEX index has dropped by 0.7% and is currently at 54,977.9. This indicates a generally weaker performance in the banking sector, with IndusInd Bank share contributing to the dip in the index.
Top Losers in BSE BANKEX Index
Among the top losers within the BSE BANKEX index today are:
- Bank of Baroda (down 1.6%)
- IDFC FIRST BANK (down 1.5%)
This decline in IndusInd Bank share price follows a 31.2% loss over the past year, with its price sliding from ₹1,466.8 to its current price of ₹1,008.4, representing a loss of ₹458.4.
Performance of BSE BANKEX and Other Bank Stocks
The BSE BANKEX index, despite the losses today, has managed to register a 3.9% gain over the last 12 months, moving up from 52,913.8 to 54,977.9.
In contrast, the top gainers among the BSE BANKEX index stocks during the same period have been:
- HDFC Bank (up 19.1%)
- Federal Bank (up 16.1%)
- ICICI Bank (up 15.4%)
This shows that while some banks in the BSE BANKEX index have performed well, IndusInd Bank share is facing significant challenges.
Impact on Benchmark Indices
The BSE Sensex has also taken a hit, standing at 73,947.0 (down 0.9%). Among the top losers within the BSE Sensex today are M&M (down 2.5%) and NTPC (down 2.2%). The NSE Nifty is also down by 1.0%, with M&M and Tech Mahindra among the biggest losers.
However, over the last 12 months, the BSE Sensex has seen a modest increase, moving up from 72,790.1 to 73,947.0, which translates to a 1.6% gain.
IndusInd Bank Financial Update
IndusInd Bank share reported a 39.1% YoY decline in its net profit for the quarter ending December 2024, amounting to ₹14,024 million compared to ₹23,014 million in the same quarter last year. Despite this decline in profits, the bank saw a 10.6% increase in net sales, rising from ₹115,723 million in Q3 FY2024 to ₹128,008 million in Q3 FY2025.
For the fiscal year ending March 2024, the bank’s net profit grew by 20.6%, reaching ₹89,773 million, compared to ₹74,435 million during FY23. The bank also reported a 25.8% increase in revenue, reaching ₹457,482 million during FY24.
The current Price to Earnings (P/E) ratio of IndusInd Bank share, based on its rolling 12-month earnings, is 10.8.
Conclusion: Should You Buy or Sell IndusInd Bank Shares?
IndusInd Bank’s recent performance has been somewhat volatile, with the sharp drop in IndusInd Bank share price today being a continuation of its struggles over the past year. While the BSE BANKEX index has shown positive growth, IndusInd Bank share has faced a 31.2% loss in the last 12 months. The weak financial performance in the December quarter, along with broader market trends, suggests that investors should be cautious.
As of now, it remains to be seen whether the bank can recover in the short term, or whether the decline in share price will persist, depending on broader market and economic conditions.
Investors should monitor the situation closely, review the bank’s financial health, and consider their own risk tolerance before making any decisions about buying, selling, or holding IndusInd Bank shares.
